Ministry of Water Resources, River Development and Ganga Rejuvenation
Cabinet approves implementation of Shahpurkandi Dam  on river Ravi in Punjab
The Union Cabinet chaired by Prime Minister Shri Narendra Modi today has approved implementation of Shahpurkandi Dam Project, Punjab on river Ravi. For this, Central Assistance of Rs. 485.38 cr  would be provided over five years from 2018-19 to 2022-23.
Implementation of this project would help minimising some of the water of the River Ravi which at present is going waste through the MadhopurHeadworks downstream to Pakistan.
Details:
- On completion of the project an Irrigation Potential of 5,000 ha in Punjab State and 32,173 ha in J&K State would be created.
- Funding for Central Assistance to Shahpurkandi Dam project shall be made through NABARD under existing system for funding of 99 PMKSY-AIBP projects under LTIF.
- In addition to existing monitoring mechanism for projects by Central Water Commission, a committee headed by Member, Central Water Commission and consisting of concerned Chief Engineers of Punjab and J&K and other concerned officers would be constituted to oversee/monitor the implementation of project.
- The Advisory committee of MoWR, RD&GR on Irrigation, Flood Control and Multipurpose Projects accepted the second Revised Cost Estimate amounting to Rs. 2715.70 crore  in its 138th meeting held on 31.10.2018.
- The project would be implemented by Govt. of Punjab with Central Assistance of Rs. 485.38 crore The project would be completed by June 2022.
Impact:
- Some of the water of the River Ravi at present is going waste through the MadhopurHeadworks downstream to Pakistan whereas there is requirement for the same for use in Punjab and J&K. Implementation of the project would minimise such wastage of water.
- On completion of the project an additional Irrigation Potential of 5000 ha in Punjab State and 32173 ha in J&K State would be created.
- In addition, water being released to provide irrigation in 1.18 Lac ha area under UBDC system in Punjab would be managed/regulated efficiently through this project and the irrigation in the area would be benefitted. On completion, Punjab would also be able to generate 206 MW of hydropower.
Expenditure:
The balance cost of works component of ShahpurKandi Dam project is Rs. 1973.53 cr.  Out of the this, Rs 485.38 Cr would be provided as Central Assistance.
Beneficiaries:
Irrigation in 5000 ha of land in Punjab and 32172 ha in J&K would be provided. The implementation of scheme would generate 6.2 lakh man-days employment for unskilled workers, 6.2 lakh man-days employment for semi-skilled andl 1.67 lakh man-days employment for skilled workers.
Background:
Indus Waters Treaty was signed between India and Pakistan in 1960 for sharing of Indus waters. According to the Treaty, India got the full rights for utilization of waters of the three Eastern Rivers namely Ravi, Beas and Satluj.
Some of the water of the River Ravi at present is going waste through the MadhopurHeadworks downstream to Pakistan. Implementation of the project would minimise such wastage of water.
A Bilateral agreement was signed between Punjab and J&K in Jan, 1979. As per the agreement, construction of RanjitSagar Dam  and Shahpurkandi Dam was to be taken up by Punjab Govt. RanjitSagar Dam was commissioned in Aug, 2000. The ShahpurKandi Dam project is proposed on River Ravi, 11 d/s of RanjitSagarDam and 8 km u/s of Madhopur Head Works.
The Project was initially approved by the Planning Commission during November, 2001 and was included under the Accelerated Irrigation Benefits Scheme  of this Ministry for funding its irrigation component.
Revised cost of the ShahpurKandi Dam National project was approved by the Advisory Committee of MoWR, RD & GR on 24th August, 2009 for Rs. 2285.81 crore Central Assistance of Rs. 26.04 crore was released during period 2009-10 to 2010-11. However, the works could not progress much due to non-availability of funds on the part of Govt. of Punjab for power component and later interstate issues with J&K.
Series of meetings were held bilaterally as well as at Govt. of India level. Finally, an agreement was reached between Punjab and J&K states under the aegis of MoWR, RD&GR at New Delhi on 8th September, 2018.